Which of the following must be present in order for the aggregate supply curve to form an upward slope?
a. the lure of higher profits to induce continued production
b. fixed cost of inputs combined with rising prices for outputs
c. rise in aggregate quantity of supplied goods and services
d. constant price level for intermediate goods and services
b. fixed cost of inputs combined with rising prices for outputs
You might also like to view...
Which of the following are primary concerns of the bank manager?
A) maintaining sufficient reserves to minimize the cost to the bank of deposit outflows B) extending loans to borrowers who will pay low interest rates, but who are poor credit risks C) acquiring funds at a relatively high cost, so that profitable lending opportunities can be realized D) maintaining high levels of capital and thus maximizing the returns to the owners
A monopolist will hire an additional unit of labor as long as
A) the additional cost of the worker is outweighed by the additional revenues made from selling the output of theses workers. B) the marginal revenue curve is above the demand curve. C) the marginal revenue product is larger than the marginal factor cost. D) the marginal revenue product is less than the marginal factor cost.
Which of the following would result in GDP for an economy equal to $10 trillion?
A) C = $6 trillionI = $2 trillionG = $1.5 trillionNX = -$2 trillion B) C = $7 trillionI = $2 trillionG = $4 trillionNX = $3 trillion C) C = $5 trillionI = $5 trillionG = $2 trillionNX = -$2 trillion D) C = $4 trillionI = $3 trillionG = $2 trillionNX = -$1 trillion
If aggregate demand increases and expectations regarding inflation remain constant
A. the short-run Phillips curve shifts to the left. B. the short-run Phillips curve shifts to the right. C. the economy moves along the short-run Phillips curve. D. the long-run Phillips curve shifts to the right.